1. Field of the Invention
The present invention generally relates to a method and system for preventing counterfeiting of expensive items, and more particularly to a method and system for preventing counterfeiting of high value items without the need for a large, central database for verification of authenticity of such items at the point of sale. The present invention also suggests methods and techniques for preventing "parallel markets".
2. Description of the Related Art
Conventional methods and apparatus exist for making it difficult to counterfeit high value items. Such items may include, for example, rare wines and spirits, fur coats, expensive jackets, perfumes, etc. Such items are generally sold in stores or restaurants with well-known reputations for quality and service.
Nevertheless, some retailers may participate in and actually be members of organizations which sell counterfeit products as genuine products. Accordingly, methods for combating the counterfeiter must be considered. Additionally, "parallel" markets are markets where goods may be diverted from a legitimate vendor (i.e., those who have contracts with the producer or authorized distribution channels). Sales from those having no contracts with the producer or authorized distributors are also sales which the present invention attempts to prevent.
However, a basic concept to assure that the item is genuine requires a form of verification of the item, such as IDs to confirm the item as being genuine.
Several such tagging mechanisms have already been proposed previously. However, such tagging mechanisms fail to engender (or strongly encourage) the customer's participation in helping to recognize counterfeited items. It is easy to produce seals only verifiable by the vendor, but the cooperation of the public in fighting counterfeiting cannot be gained easily by using such devices.
To partially overcome this difficulty, several manufacturers attach a serial number to each item.
For serial numbers to offer increased protection, some conventional methods use a serial number where part or all of the digits are chosen at random or generated by some secret code, in which the originator keeps a copy of all numbers so generated and the authenticity is checked by verifying that the tag of a given item carries a number in the list (e.g., a simple comparator function).
However, such methods suffer from several drawbacks. For example, from one of these methods contact is required with the originator. Communications used for verification make the present verification process inefficient, and not always reliable.
Further, the vendor must maintain a database which may constitute a large privacy invasion such that customers may be reluctant to participate in the verification processes. For example, if the customer uses a credit card (or possibly some form of bank debit card), it is easy to associate his/her name to the product which has been bought, often without the consent of the customer.
Additionally, the originator must maintain an ever-growing database, and must make this database secure for an unforeseen time period. For example, every access to/reading from the database must be absolutely trustworthy, and one has to ensure that no external party obtains access to the database (e.g., either by a retail employee or by an external computer "hacker" accessing the database by modem or the like), which is more difficult for a database one often accesses.
Additionally, using a small scanner, and/or the help of several accomplices, the counterfeiter may copy huge lists of existing serial numbers if the serial numbers are visible when the product is packaged, and the public has no means of even partially checking originality before buying otherwise.
Thus, the conventional methods have many problems and do not affirmatively enlist the aid of the purchaser in fighting counterfeiting of high value goods. Further, none of the aforementioned methods addresses reliable means for deterring parallel markets.